A model that connects information technology and hotel performance

Despite vast investments in IT, there is scant research and empirical data that connects, in depth, IT with firm performance in the hospitality industry. However, the literature does show partial evidence and examples of particular technologies. After an extensive literature review, we posit four global paths through which IT can impact hotel performance and, for each one, the precise mechanisms that cause these influences. These four proposals are further developed and refined using in-depth interviews with a group of 30 managers of different areas from several hotels. A final comprehensive model that shows the specific routes that IT can follow in order to improve hotel organizational performance is presented. This model can be taken as a frame of reference by academics and can also be used by both practitioners and IT producers to assess particular IT options.     

The influences of transaction history and thank you statements in service recovery

A certain number of service failures are inevitable in the hotel business. In a scenario-based experiment, using an Internet-panel sample of 166 subjects, this study finds that: (1) those guests with a long transaction history are more satisfied with a recovery initiative and more willing to return than those with a short transaction history; (2) those guests who are thanked for voicing their complaints are more satisfied with the recovery initiative and more willing to return than those who do not receive a thank you statement; and (3) receiving a thank you statement while voicing a complaint might have a greater positive impact on the satisfaction of guests with short transaction histories than on guests with long transaction histories. The managerial and research implications of these findings are discussed.     

The impact of personal and functional aspects of restaurant employee service behaviour on customer satisfaction

Employee behaviour plays a significant role in satisfying restaurant customers, however, there is a paucity of research highlighted personal and functional aspects of employee behaviour and their influence on customer satisfaction. Accordingly, this study aims to bring a deeper insight of the impact of restaurant employee service behaviour on customer satisfaction. Using survey approach, the current study collected data from 212 tourists who had a dining experience in Jordan. The results of data analysis showed that both functional and personal aspects of service behaviour where able to explain customer satisfaction, with higher contribution of personal aspects over the functional ones. Depending on study’s findings, some implications were suggested including a recommendation to foodservice managers to adopt reinforcement programs that improve functional and personal aspects of their employees. A further recommendation was proposed to marketers, to give a higher attention to personal aspects of foodservices in their marketing activities.     

A novel framework for customer-driven service strategies: A case study of a restaurant chain

Importance–performance analysis (IPA) is a popular customer-driven tool that enables companies to understand market competition and identify improvement priorities for various attributes of products and services. Despite the widespread use of IPA, previous studies have identified specific deficiencies. For example, the managerial improvement directions derived from IPA are potentially misleading because they ignore the asymmetric and nonlinear relationships between attribute performance (AP) and customer satisfaction (CS). Furthermore, the relationship between AP and importance is erroneously assumed to be independent. By contrast, the Kano model offers useful insight into quality attributes based on the asymmetric and nonlinear relations between AP and CS. In this study, a customer-driven framework is proposed, integrating the advantages of traditional IPA and the Kano model to elucidate the market competition position of each service and product attribute, providing strategic improvement guidelines for managers to design service activities. By conducting a case study of a restaurant chain, we demonstrate the effectiveness of the proposed approach.     

The managerial implications of an analysis of tourist profiles and international hotel employee service attitude

Numerous studies indicate that customer satisfaction is closely related to hotel employees’ service attitude, and that distinct segments of a target tourist market require distinct customer service emphases. The enclosed study finds, for example, that Taiwanese tourists generally appreciate friendliness and enthusiasm, Japanese tourists admire courteousness and propriety, and American tourists value immediacy and efficiency. Marketers and personnel managers are therefore well advised to develop training strategies emphasizing empathy, gracious problem solving, and prompt individual attention for Taiwanese, Japanese, and American tourists, respectively. Importance–performance analysis (IPA) can be used to identify crucial aspects of appropriate service and recommend managerial strategies to support their implementation.     

A conceptual framework of the service delivery system design for hospitality firms in the (post-)viral world: The role of service robots

This study aims to develop a conceptual framework of the service delivery system design for hospitality firms in the (post-)viral world. Several theoretical approaches such as resource-based view, value chain analysis, stakeholder theory, PESTEL analysis, positioning strategy, and service delivery system design were adopted. The paper identified three service delivery system designs (robotic, human-based, and mixed) and analyses their requirements, advantages, disadvantages, and potential target markets. According to the suggested model, hospitality firms need first to explore the expectations of tourists. Then comes the analysis phase (based on a holistic perspective, and consisting of RBV, Value chain, Stakeholder, and PESTEL analyses), which helps hospitality firms to identify how they should differentiate and position themselves in the market. Following, companies decide on what kind of service delivery system they should offer to their target customers, and position themselves in the market according to the chosen system.     

The impacts of complementary information technology resources on the service-profit chain and competitive performance of South African hospitality firms

The potential of information technology (IT) resources to empower employees, to shape customer service and contribute to the competitive performance of hospitality firms has received much attention. Yet empirical evidence has been lacking. This study draws on the resource-based view of the firm and the service-profit chain framework to develop and test a model of the effects of a complementary system of tangible and intangible IT resources on employee and customer service outcomes and on competitive performance. A structured questionnaire was used to collect data from 112 hospitality establishments operating in South Africa. Results revealed that the complementary system of IT resources has significant direct effects on competitive performance whilst its effect on customer service outcomes is fully mediated by employee outcomes. Results support the contention that hospitality service is information intensive. In addition to employees, tangible and intangible IT resources demand the attention of hospitality managers and their role in competitive strategy must be considered.     

Quality function deployment: An extended framework for service quality and customer satisfaction in the hospitality industry

Research on service quality and customer satisfaction has become significant in the hospitality industry. Nonetheless, most previously proposed or introduced research paradigms have focused exclusively on customers without equally emphasizing the intra-organizational service generation and delivery processes. In contrast, this study considers both external and internal service management issues and subsequent service innovations based on the framework of Quality Function Deployment (QFD). QFD and its relationship to similar concepts are explained. Next, this study provides an overview of the QFD process and develops a hypothetical application in the lodging industry in order to illustrate future application and analysis strategies. Some benefits and disadvantages of the QFD process are discussed as compared to extant service quality and customer satisfaction paradigms. Finally, suggestions and directions are offered for future applications, with particular interest in hospitality-specific service management issues.     

Service quality and customer satisfaction: The moderating effects of hotel star rating

This research contributes to customer satisfaction knowledge with regard to accommodation in South Africa whose star grading differs. A multi-group analysis and an importance-performance map analysis by means of PLS-SEM allow us to differentiate between service quality performance scores and their influences on customer satisfaction across accommodation with a different star grading. The two most important predictors of satisfaction with one-star and two-star category accommodation are the accommodation infrastructure and the employee expertise. Both predictors were found to have relatively low levels of performance. Safety and security and room quality are two significant determinants of satisfaction with three-star establishments, although they under-perform with regard to safety and security. In respect of four-star and five-star accommodation, waiting time and customer interaction, both of which have above average performance scores, influence customer satisfaction. We provide specific guidelines for managerial interventions to improve service quality and guests’ satisfaction for each grading category.     

The impact of IT-enabled customer service systems on service personalization,customer service perceptions,and hotel performance

Customer service is a critical element of a hotel's strategy and an important lever for differentiation of the hotel's offer. Over the last two decades, information systems have contributed to the transformation of customer interactions, enabling an unprecedented scale and scope of service personalization in the tourism industry. This paper reports the results of a mixed method study in a hotel that offers three contributions to the development and refinement of IT-enabled service personalization theory. It explores the role of signifiers in the design of customer service systems, showing that they significantly increase customer preference elicitation during the learning phase of the service personalization process. It then demonstrates that improved preference elicitation translates into higher customer service evaluations and value perceptions of the hotel. Finally, our study shows that IT-enabled service personalization creates financial benefits for the hotel via revenue share-shift from costly intermediated to direct distribution channels.     

The impact of customer-to-customer interaction and customer homogeneity on customer satisfaction in tourism service—The service encounter prospective

Customer satisfaction has been an important topic in tourism service management. Many researchers have argued that customer-to-customer interaction may affect customers’ evaluation of the service experience. Consequently, the objective of this research is to investigate the relationship between customer-to-customer interaction, customer homogeneity and customer satisfaction. This research adopted questionnaires to investigate tourists traveling to foreign areas from Taiwan. In conclusion, the perception of customer-to-customer interaction incidents could be extracted into six factors, including protocol and sociable incidents, violent incidents, grungy incidents, malcontent incidents, crude incidents, and inconsiderate incidents. The results of the analysis indicate that “protocol and sociable incidents” have a significantly positive impact on the “evaluation of fellow customers”. However, “malcontent incidents” have a significantly negative impact on customer satisfaction. “Marital homogeneity” has a positive influence on the “evaluation of fellow customers”. Finally, “evaluation of fellow customers” has a positive influence on customer satisfaction. Some suggestions for practitioners to manage customer compatibility and enhance customer satisfaction are proposed.     

The effects of perceived service quality on repurchase intentions and subjective well-being of Chinese tourists: The mediating role of relationship quality

The current study provides and tests an integrated model that examines two relationship quality constructs (overall customer satisfaction, customer-company identification) as mediating variables between Chinese tourists' lodging service quality perceptions and two outcomes (repurchase intentions, subjective well-being). The results of a study with domestic Chinese hotel guests (n = 451) provide support for the proposed model. Specifically, the results indicate that overall customer satisfaction fully mediates the relationship between perceived service quality and repurchase intentions and subjective well-being, respectively. Customer-company identification partially mediates the relationship between perceived service quality and repurchase intentions and subjective wellbeing, respectively. We provide empirical validation that customers do, indeed, identify with hospitality providers, and this, in-turn, provides positive consequences for both the service provider (i.e., repurchase intentions) and the customer (i.e., subjective well-being). Managerial implications are provided, limitations noted, and future research directions suggested.     

Switching intention model development: Role of service performances,customer satisfaction,and switching barriers in the hotel industry

The intricate relationships among core service and service encounter performances, customer satisfaction, and switching barriers in the formation of satisfaction and switching intention were examined in this study. A field survey was conducted at upper-midscale hotels. The results of the structural analysis revealed that both core service and service encounter performances significantly affected customer satisfaction, and satisfaction completely mediated the effects of service performances on switching intention. In addition, findings from the tests for metric invariances indicated that components of switching barriers (switching costs, relational investment, and lack of alternatives’ attractiveness) moderated the relationships between satisfaction and switching intention. In particular, the role of satisfaction derived from service performances in decreasing hotel guests’ intention to switch is greater when they perceive high switching costs, relational investment, and lack of alternatives’ attractiveness. Based on study findings, theoretical and practical implications are identified and discussed.     

The signaling effect of management response in engaging customers: A study of the hotel industry

Hotels today actively respond to online reviews given their tremendous influence on travelers' decisions. Yet, the questions of how to respond to online reviews continue to baffle hotel managers. By focusing on prospective travelers, we propose the effective management response signals hotels' care for customers and quality of service. Particularly, we postulate the frequency, speed and length of response influence the effectiveness of signaling in reducing information asymmetry. Based on the large-scale field data from TripAdvisor, this study demonstrates that the frequency and speed of response significantly enhance travelers’ engagement as indicated by more reviews, higher average valence, more votes for helpfulness, and higher popularity ranking. Furthermore, the frequent and speedy response is more effective for budget (vs. premium) hotels. Thus, management response to online reviews serves as a critical channel of communication to engage customers.     

The effects of tipping policies on customer satisfaction: A test from the cruise industry

Many in the media have called for the abolition of the practice of tipping and at least some resorts, private clubs, hotels, and restaurants have replaced tipping with automatic service charges or service inclusive pricing. Particularly notable in this regard is the cruise industry, where several of the largest brands have switched to an automatic service charge system. Given the popularity of tipping and its perceived role as an incentive/reward for service, such moves to replace tipping with service charges seem likely to have negative effects on customer satisfaction. We test this expectation by examining the effects of Carnival Cruise Line's tipping policy change in the early 2000s on its customers’ evaluations of their cruise experience. After controlling for the effect of ship and review date, we found that Carnival Cruise Line's guests rated their cruise more positively when they sailed under a voluntary-tipping policy than when automatic service charges were added to their onboard bills. However, this effect was small and need not deter firms from replacing voluntary tipping with service charges. Discussion of this finding focuses on ways services marketers might be able to mitigate this modest negative effect of service charges.     

The relationship between CRM, RM, and business performance: A study of the hotel industry in Taiwan

This study aims to investigate the implementation of customer relationship management (CRM) and its effect on relationship marketing (RM) and business performance, through an analysis of the hotel industry in Taiwan. A survey on hotels, including general and tourist hotels, and bed and breakfasts (B&Bs) was conducted, and a total of 560 questionnaires were returned. The results showed that implementing CRM has a significant and positive influence on the RM effect, positively affecting business performance for both hotels and B&Bs. However, a comparison of the influential paths of relationship models between hotels and B&Bs showed that, for hotels, the Internet service and customer support functions of the CRM strategy are the main sources of influence on the RM effect and business performance, whereas for B&Bs, the marketing support function of the CRM strategy alone influences the RM effect and business performance. To achieve higher performance, the different types of hotel enterprises should understand their main advantage before implementing key CRM strategies.     

Impact of hotel-restaurant image and quality of physical-environment,service, and food on satisfaction and intention

This study developed a theoretical framework in which overall image, image congruence, and quality of physical environment, service, and food affect guests’ satisfaction and intentions to revisit a luxury hotel restaurant and visit other restaurants of the same hotel by considering the influence of conspicuousness as a moderator. The measurement model assessment revealed that all items included an acceptable level of measurement quality. Results of the structural analysis indicated that the research variables were in general significantly associated; quality dimensions and satisfaction had a mediating role; and the impact of satisfaction and overall image on decision formation was greater than that of other variables. Moreover, the structural invariance model assessment indicated that conspicuousness acted as a significant moderator. Overall, our proposed theoretical framework was found to include a sufficient power in predicting patrons’ intentions for luxury hotel restaurant products. Using this quantitative approach, our research objectives were wholly achieved.     

Planning for an environmental management programme in a luxury hotel and its perceived impact on staff: an exploratory case study

Hotels generate substantial environmental footprint. To minimise this footprint, hoteliers are increasingly engaging in environmental management programmes (EMPs). When designing such a programme, it is important that hotel managers do not only evaluate its effect on corporate strategy, finance, and reputation, but also analyse its impact on staff. This is because employees are in the forefront of hotel environmental management interventions and can determine their success or failure. This is also due to the impact that EMPs can make on staff attitudes, both at work and in private life. This study explores how hotel employees perceive an opportunity to engage in an EMP in a luxury hotel. It finds that a well-designed and implemented programme can strengthen the levels of job satisfaction and organisational commitment among hotel staff, subject to explaining the reasons for and outlining the benefits of environmental management interventions, incentivised participation, regular evaluation, and adequate training. The study also shows that EMPs implemented in a hotel may drive more environmentally responsible behaviour of employees outside work.     

The impact of industry force factors on resource competitive strategies and hotel performance

This study integrates the Porter's five forces and resource-based approach measuring U.S. hotel performance. The results show that hotels with the advantage of low customer bargaining power and low threat of new hotel entrants exhibit the strong human resource and information technology (IT) strategies. In contrast, hotels with the advantage over existing competitors do not exhibit any significant competitiveness of brand image, human resource, and IT strategies. This dues to different hotels define competitors with various criteria such as proximity and price. Competitive human resource and IT strategies indicate the increase of hotel performance, while competitive brand image strategy has no influence on hotel performance. The competitiveness of brand image strategy may overlap with implementing human resource and IT strategies.     

A systematic review of AI technology-based service encounters: Implications for hospitality and tourism operations

The hospitality and tourism industry faces serious challenges during public health emergencies such as COVID-19. Managers are concerned not only about how to maintain business and provide humanized services but also about social distancing. This study presented artificial intelligence (AI) technology-based service encounters as a possible solution and examined the antecedents and consequences of the encounter triad including customers, employees, and AI. Based on a systematic literature review, the study identified 4 modes of AI technology-based service encounters: AI-supplemented, AI-generated, AI-mediated, and AI-facilitated encounters. In addition, the study developed an integrated model to specify the factors that influence AI technology-infused service encounters in general and the customer service outcomes that result from the encounters. The findings contribute to service management and AI application theoretically and practically.